The Bloom Falls Off Treasury Debt

Investors Are Demanding Larger Yield Premiums to Comparable Securities of Other Wealthy Nations

By

Min Zeng

March 13, 2013 7:07 p.m. ET

The luster of Treasury debt has faded, as bond buyers turn to debt issued by other wealthy countries such as Germany, Japan and the U.K.

Investors are demanding the highest premiums in years to buy 10-year Treasury notes, the world's primary haven security. The 10-year Treasury note yielded 2.021% late Wednesday, about 0.54 percentage point higher than comparable 10-year German government bonds. That is the largest yield spread since...